Klarna: 80% of Brits believe retailers need to invest in new technology

New data from Klarna, a leading global retail bank, payments, and shopping service, reveals that UK shoppers are looking to integrate new technologies in their shopping experience, both online and in-store, with flexible payments and comparison services on top of their wish list.

Klarna’s Quarterly Shopping Pulse, which explores evolving shopping habits across 11 countries, shows that eight in 10 (80%) UK shoppers believe that retailers need to continuously invest in new technologies to meet evolving consumer demands, which is more than in any other country. About one in two shoppers believe that frictionless payments, both in store (48%) and online (46%), should be a retailer’s top priority, as Brits are looking to save time from filling out lengthy checkout forms and standing in queues. Next in line on the wish list for innovations are technologies that provide better personalized services, such as digital recognition, and product recommendations. The younger generations are also keen on virtual and augmented reality technology such as virtual stores and dressing rooms, with 40% of Millennials thinking online retailers need to invest in these technologies.

“UK shoppers are tech savvy and their online shopping preference currently ranks ahead of all the other countries in our report. Brits crave digitalisation and expect retailers to invest in new technology that gives them a better shopping experience, especially when it comes to faster checkouts and frictionless payments”, says Viveka Söderbäck, consumer rrend expert at Klarna.

Other key findings from the report:

●  57% of UK shoppers would prefer to do all of their shopping online if they had to choose. The UK is the only country where consumers would choose online shopping, as in all other countries the majority would choose physical stores.

●  The great majority of UK shoppers think that they’ll get the lower price (76%), they’ll find a wider assortment of products (74%) and they’ll save more time (78%) when shopping online.

●  Shoppers look for inspiration and product information mainly on search engines like Google (42%) and prefer to start their shopping journey in online stores (41%) than in physical stores (32%).

●  32% bought an item after seeing it on social media during Q1. Among those that bought something, half of them (50%) did it directly from the social media platform.

●  Tiktok (41%) and Instagram (53%) are the most popular social media platforms to shop from for Gen Z’ers, while Instagram (52%) and Facebook (49%) are the most popular among Millennials. Facebook is also the most popular for the Gen X’ers (61%) and Baby Boomers (78%) that bought something after seeing it on social media.